Gwynplaine, son of Lord Clancharlie, has a permanent smile carved on his face by the King, in revenge for Gwynplaine's father's treachery. Gwynplaine is adopted by a travelling showman and becomes a popular idol. He falls in love with the blind Dea. The king dies, and his evil jester tries to destroy or corrupt Gwynplaine.

John Dickson, millionaire candidate for mayor, is in love with Dora Malcom, a society girl. He finds, however, that she is engaged to marry Frank Stevens. He hides his grief and promises to be best man at the wedding.